Lenovo

Carbon per million dollars of revenue. The legacy industry-standard reference (CDP, MSCI). Useful for cross-sector context, but distorted by margin — high-margin firms appear artificially efficient. Read alongside the operational and asset intensities for the full picture.

OpEx (operating expenditure) is the running cost of the business — staff, services, energy, materials. This shows how carbon-intensive operations are per million dollars of spend. Removes the margin distortion that revenue-based ratios introduce.

EVIC (Enterprise Value Including Cash) is the firm's total capital footprint — equity + debt + cash + minority interest. The EU's standard intensity measure (SFDR PAI 3) — answers: how much carbon does each million of capital deployed in this business produce?

PP&E (Property, Plant & Equipment) plus leased real-estate assets is the firm's physical infrastructure on the balance sheet. This shows the carbon intensity of that physical footprint — uses Scope 1+2+3 for consistency with the other headline intensities. Surfaces stranded-asset risk for asset-heavy firms.

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• · berkeley_voluntary_registry
• · CarbonPlan OffsetsDB

Lenovo achieved 94% renewable electricity in FY24/25, exceeding its 90% by FY25/26 maintenance target. The strategy uses a hierarchical approach: (1) on-site energy efficiency, (2) on-site solar generation via third-party PPAs at Hefei, Wuhan, Shenzhen, Tianjin (China), Budapest (Hungary), Monterrey (Mexico), Morrisville and Whitsett (US), generating ~19,846 MWh; (3) retail green electricity contracts (Germany Medion site hydropower, Tianjin GECs); and (4) unbundled EAC purchases — I-RECs in China (211,915 MWh), Brazil (11,537 MWh), India (5,375 MWh), Mexico (24,882 MWh); GOs in EU markets (Hungary, Germany, Czechia, Denmark, France, Italy, Netherlands, Romania, Slovakia, Spain); US-RECs (27,271 MWh Green-e wind); Japan NFCs (9,276 MWh). All EAC vintages within ~15-year commissioning windows.

Lenovo did not retire any project-based carbon credits in FY24/25. The net-zero target plan states Lenovo intends to neutralize residual emissions with permanent carbon removals at the end of the target (2050) and plans to purchase and cancel carbon credits for both beyond-value-chain mitigation and end-of-target neutralization. Short-term focus is on emission reduction (achieving the 90% absolute reduction) rather than neutralization.

• On-site solar generation and operational energy efficiency

  Lenovo implemented 34 emission reduction initiatives in FY24/25 totaling ~1,094 tCO2e estimated savings (excluding renewables), plus 35 MW renewable capacity (+40% YoY). Initiatives include BEMS, HVAC upgrades, lighting, compressed air efficiency, and process equipment replacement at manufacturing sites. Shenzhen Factory solar generated 1.33 GWh (1,267 tCO2 saved); Wuhan 1.28 GWh (672 tCO2); Beijing HQ purchased 16.07 GWh green electricity (9,708 tCO2 saved).

• Internal carbon pricing exploration and Lenovo 360 Circle channel partner engagement

  Lenovo is exploring an internal carbon price in the next two years. To engage its channel partners (responsible for >80% of revenue and significant Scope 3 share), Lenovo launched Lenovo 360 Circle — a community-driven sustainability initiative with 524 members across 51 countries by FY24/25 (+53% YoY in members with dedicated sustainability resources). Provides training (14 courses, 65 modules, 5.5 hours content) and aligns partners with UNGC Connect/Learn/Lead framework to scale circular economy and net-zero practices through the channel ecosystem.

• Upstream transport optimization — modal shift and route efficiency

  Upstream transportation and distribution (348,268 tCO2e) target is 25% intensity reduction per tonne-km by FY29/30. Roadmap covers four levers: demand management, low-carbon transport modes, low-carbon fuel, and utilization/consolidation. FY24/25 actions: implemented two route optimization or weight reduction initiatives; enabled five low-carbon transport modes across business groups; improved fleet utilization across ISG and IDG in AP, EMEA, and AG regions. Target Int 3 currently 215% achieved relative to base year (120 vs 260 gCO2e/tonne-km), well ahead of plan.

• Operational energy efficiency and on-site renewables

  Hierarchical combination of energy efficiency, on-site renewable energy generation, and renewable energy commodities to deliver -50% absolute Scope 1+2 by FY 2029/30. Initiatives in FY 2024/25 included replacing energy-efficient equipment, optimizing AC/UPS/transformers, digital energy management via Lenovo ESG Navigator, ISO 50001 certification at multiple manufacturing sites, and 34.5 MW solar installations.

• Circular economy: recycled materials and product take-back

  By FY 2025/26, 100% of PC products will contain post-consumer recycled content (PCC); cumulative 300M lb PCC plastics in products. Use of closed-loop PCC, ocean-bound plastics, and recycled metals/rare earths. Enable recycling/reuse of 800M lb end-of-life products by FY 2025/26 (cumulative since 2005). Asset Recovery Services and TruScale-as-a-Service extend product life.

• Internal operations emissions reduction

  Lenovo's Climate and Energy Policy focuses on five key areas including internal operations. Near-term Scope 1 and 2 emissions reduction targets are consistent with limiting warming to 1.5°C and were validated by SBTi in June 2020 and again in January 2023.

• Plastic-free packaging expansion

  By combining bamboo fiber technology, self-locking box, and other innovative technologies, the packaging team accomplished plastic-free primary packaging on ThinkPad X1 and Z series in FY 2022/23. In FY 2023/24, plastic-free primary packaging was expanded to all ThinkPad series (except E series) and select smartphones.

• Asset Recovery Services (ARS) and circular economy

  Lenovo Asset Recovery Services helps customers develop and implement sustainable disposition strategies for technology hardware, recycling tech in a more socially and environmentally responsible way. Environmentally preferred materials programs drive use of recycled and renewable materials in products and packaging supporting transition to a circular economy.

• On-site solar generation expansion

  Lenovo expanded solar generation capacity 48% YoY to 25 MW in FY23/24, with installations at manufacturing/R&D sites in Beijing, Hefei, Wuhan (China via energy performance contracting), Morrisville and Whitsett (North Carolina, USA), and Budapest (Hungary, commissioned 2022). On-site generation delivered ~17 GWh consumed in FY23/24.

• Product energy efficiency improvement (use phase)

  Use-of-sold-products is Lenovo's largest emissions category (7.1M tCO2e, ~47% of Scope 3). SBTi target commits to -35% intensity per comparable product by FY2029/30 vs FY2018/19. R&D roadmap: improve energy efficiency of desktops by 50%, servers by 50%, notebooks by 30%, Motorola products by 30% by FY2029/30. Lenovo offers ENERGY STAR qualified notebooks (91%), desktops (82%), workstations (100%), monitors (50%), servers (82%). Liquid-cooling Neptune technology reduces server power consumption by up to 40%.

• Facility energy efficiency (HVAC, lighting, controls)

  34 emission reduction initiatives implemented in FY23/24 across facilities. HVAC upgrades saved 1,169 tCO2e (USD 364k savings, USD 1.4M invested), lighting upgrades 157 tCO2e, operational adjustments 2,637 tCO2e. Beijing campus ISO 50001 certified since 2018 completed 6 energy projects in FY23/24 saving 1,293,819 kWh / 781 tCO2 annually (LED replacements, automatic HVAC controls, insulation).

• Neptune warm-water liquid cooling technology

  ISG's high performance computing and Neptune water cooling technology continue to set the industry benchmark, leveraging warm-water liquid cooling for energy-efficient AI infrastructure deployment in data centers.

• Scope 1+2 operations: 50% absolute reduction by FY2029/30

  Lever: hierarchical combination of energy efficiency improvements at sites, on-site renewable energy generation, and renewable energy commodity procurement. Scope 1+2 is ~1% of total footprint so target focuses on absolute reduction from FY2018/19 base year.

• Product circularity & end-of-life recovery

  Recycled/reused 94,000 metric tons of customer products in FY23/24. Targets by FY2025/26: 84% of repairs at customer site; 76% of repairable PC parts repaired for future use; 800M pounds cumulative end-of-life recycling/reuse since 2005. All ThinkPad lines except E series achieved plastic-free primary packaging.

• Building optimization and office space reduction

  Reduction of office spaces plus building energy efficiency improvements. ESG KPI tracking energy intensity (kWh per terabyte IP data) — 91 kWh/TB in 2022, down 11% YoY. Expanding photovoltaic systems at DT locations with power storage and intelligent load management. Tests of fuel cells, waste-heat energy generation, gas turbines and ice-storage at PASM.

• Renewable electricity for network operations

  DT's networks consumed over 12 TWh of electricity in 2022, with 100% from renewable sources. This is the single largest scope 2 lever for the operator, achieved via PPAs (increasing share targeted to 50% by 2025), on-site solar, GOs and RECs.

• Fleet electrification (Green Car Policy)

  From 2023 onwards, all new benefit cars in Germany must be electric vehicles. T-Systems restricted ordering of new fossil-fuel business cars to exceptional cases from May 2022, setting EVs as standard. Bonus/malus system since 2010 incentivizes low-emission selection. The Board decided on full electrification of the business vehicle fleet in Germany in 2022.

• Network energy efficiency (PLASMA programme)

  PLASMA project started 2018 reduced DT Germany electricity consumption by 274 GWh through 2021 and 114 GWh additional in 2022. Measures include 3G network switch-off (June 2021), migration to IP, dynamic spectrum sharing for 5G, AI-based smart energy management, replacement of air-conditioning with direct air-cooling fan doors, and compliance with EU Broadband Code of Conduct. PASM ISO 50001 certified since 2013.

• Supplier engagement — driving SBTi adoption across purchased goods Scope 3

  Lenovo's largest Scope 3 category is purchased goods and services (5.97 MtCO2e, ~34% of Scope 3). Strategy targets 66.5% intensity reduction per USD gross profit by FY29/30. In FY24/25, 51% of suppliers by procurement spend committed to SBTi-validated targets, up from 0% in FY23/24 baseline. Engagement covers top 98% of procurement spend (108 Tier-1 suppliers). Uses CDP Supply Chain program, quarterly ESG scorecards, supplier capacity-building training, and integration into procurement decisions. Target Int 2 currently 59% achieved relative to base year (538 vs 885 tCO2e/USD M gross profit).

• Product energy efficiency reducing use-of-sold-products emissions

  Use of sold products (10.27 MtCO2e) is Lenovo's largest single Scope 3 category (~58% of Scope 3). Strategy targets 35% intensity reduction by FY29/30 on average for comparable products. Roadmap: 50% energy efficiency improvement for desktops by FY29/30, 50% for servers, 30% for notebooks, 30% for Motorola products. Lenovo offers ENERGY STAR qualified products: ~88% of notebooks, ~85% of desktops, ~100% of workstations, ~52% of monitors, ~71% of server platforms. Target Int 1 currently 85% achieved (129 vs 184 kgCO2e per comparable product).

• Lenovo Neptune liquid cooling for data centers

  Lenovo Neptune direct warm water-cooled technology captures up to 98% of system heat, reduces power consumption up to 40%, and enables operation without specialized data center air conditioning. At LRZ supercomputing centre, achieved 35% energy cost reduction. Drives both customer Scope 1/2 reductions and Lenovo Scope 3 cat 11 reductions. Lenovo expects to develop, produce, and market Neptune technologies for at least the next 10 years, anticipating 1-5% revenue uplift from customer demand for power-efficient infrastructure.

• Use of sold products — energy efficiency

  Reduce Scope 3 use-of-sold-products emissions 35% on average for comparable products by FY 2029/30. Strategy: design products meeting/exceeding ENERGY STAR, 80 Plus PSU certifications, Neptune liquid cooling capturing up to 98% of server heat and reducing power consumption up to 40%, and engaging customers to use more renewable energy.

• Upstream transportation and logistics decarbonization

  Reduce Scope 3 upstream transport emissions 25% per tonne-km by FY 2029/30. Levers: modal shift from air to sea/rail freight (expanded rail in China, Europe, Latin America); alternative fuels (Sustainable Aviation Fuel) across Brazil/China/APAC/EMEA/LatAm; ultra-light pallets; direct shipments to Italy/Spain/France; partnerships with GLEC, Smart Freight Centre, EPA SmartWay.

• Supply chain decarbonization (purchased goods)

  Reduce Scope 3 emissions from purchased goods and services 66.5% per million USD gross profit by FY 2029/30. Approach includes Supplier Code of Conduct climate requirements, annual supplier climate data collection via CDP Supply Chain, ESG scorecards with sustainability multiplier on supplier report cards, and expanding suppliers committed to SBTi (target 95% by spend; achieved 51% in FY2024/25).

• Energy suppliers and operational emissions

  Lenovo's climate strategy targets energy suppliers and their operational emissions as one of five key areas where the company can demonstrate influence in driving emissions reductions and support for a global transition to a low-carbon economy.

• Supply chain decarbonisation via RBA and EcoVadis

  Lenovo works with the electronics industry on supply chain issues through Responsible Business Alliance (RBA) membership. The Group deployed EcoVadis' ESG Risk Management Platform and Supplier ESG Management Module on GSC ESG Digitalization Platform to assess suppliers, identify risks, recommend improvements. CDP recognized Lenovo as leader for supplier engagement for the fourth year running.

• CO2 Offset Service and Reduced Carbon Transit for customers

  Management will broaden sustainability initiatives to incorporate innovative ESG features, such as a CO2 offset service and Reduced Carbon Transit, into the Group's service offerings designated to help customers meet their ESG goals and deliver sustainable outcomes.

• Supplier engagement via CDP Supply Chain + SBTi cascading

  Purchased goods & services emit 6.5M tCO2e (~43% of Scope 3). SBTi target: -66.5% intensity per million USD gross profit by FY2029/30. Lenovo engages top 98% of procurement spend (110 suppliers) via CDP Climate Change Questionnaire (97% response rate FY23/24) and RBA audits. KPI to drive supplier SBTi commitments reached 49% of spend in FY23/24 (up from 45% baseline), with goal of 95%. Suppliers' ESG performance reviewed quarterly via supplier scorecard tied to procurement decisions.

• Logistics transition: air → road/sea, low-carbon freight

  Upstream transport is targeted to reduce 25% per tonne-km by FY2029/30 (SBTi). Roadmap includes demand management, low-carbon transport modes, low-carbon fuel, and utilization/consolidation. In FY23/24, Lenovo replaced more than 50% of emergent air delivery in Asia Pacific with roll-on/roll-off shipping; more than 96% of ISG shipments in North America and China transported by road. Intensity dropped from 0.00026 to 0.000154 tCO2e/tonne-km (163% of target achieved).

• Upstream transportation: 25% reduction per tonne-km

  Levers include modal shift to lower carbon modes of transport, optimization of transport planning, increase of vehicle utilization, and improvement of vehicle fuel efficiency.

• Purchased goods & services: 66.5% reduction per million US$ gross profit

  Second-largest Scope 3 category at ~43% of FY23/24. Lever: climate change requirements in Supplier Code of Conduct; annual supplier climate data collection; climate KPIs in supplier ESG scorecards; expand SBTi commitment among suppliers. Aim to remove 1M tons of GHG from supply chain by FY2025/26 (vs FY2018/19).

• Use-of-sold-products: 35% reduction per comparable product by 2030

  Largest Scope 3 category at ~47% of FY23/24 Scope 3. Lever: reduce product emissions through energy efficiency improvements (50% improvement target for desktops/servers by FY2029/30; 30% for notebooks/Motorola), and engage customers to use more renewable energy.

• Supplier emission reductions (Supply Chain CDP + SBTi push)

  ~70% of DT scope 1-3 emissions come from purchases. New Supplier Code of Conduct (May 2022) mandates verified scope 1-3 disclosure via CDP and reduction plans aligned with DT's -55% by 2030 target. 445 suppliers invited to CDP Supply Chain Program in 2022, covering ~80% of POV. 20% sustainability weighting in tender evaluation. Suppliers achieved 164 Mt CO2e reductions in 2022 (vs 206 Mt in 2021). Participates in JAC, Supplier Development Program, supports CDP SBTi campaign.

• Increase device energy efficiency and product lifetime (use-of-sold + downstream leased)

  Use of sold + downstream leased assets emissions are major scope 3 categories. Levers include: new Speedport Smart 4 router (~10% less under full load, sleep mode, 90% recycled plastic housing), TV box G7 (61% less electricity than G6), Fairphone 4 (Blue Angel certified modular smartphone), and refurbished smartphones under Green Magenta label (75% of mobile carbon footprint is in production phase). Target: 25% refurbished share by 2030.